Industry news

INDUSTRY BODIES REACT TO RECENT GOVERNMENT ACTION

Independent Automotive Aftermarket Federation (IAAF) chief executive Mark Field has said that energy support packages and tax cuts will mean nothing to independent aftermarket businesses –unless sector speci c legislation, such as the current MOT frequency and motor vehicle block exemption regulations (MVBER), are maintained and strengthened. The Chancellor Kwasi Kwarteng unveiled a massive scal shake-up in the recent mini budget – scrapping the additional tax rate, cancelling the rise in corporation tax, and reversing the recently introduced rise in National Insurance. These measures followed the Government’s Energy Bill Relief Scheme which sets the wholesale cost of energy for businesses. To ensure e ective competition remains possible for the UK automotive aftermarket, Field is keen to see the aftermarket sector receive wider support and recognition in the legislative agenda. He said: “Any plans to extend the current MOT test frequency or failure to uphold Motor Vehicle Block Exemption Regulations (MVBER) and update vehicle type approval regulations will render any business support packages worthless in the independent aftermarket. “In a post-Brexit era, our lobbying in support of aftermarket businesses has intensi ed and part of this is to remind government that during the Covid-19 pandemic, the sector was allowed to stay open and played a critical role in keeping vehicles roadworthy. The aftermarket is a leader in the supply of mobility services, o ering a ordability and choice to millions of motorists for the service and maintenance of their vehicle. Through our work with UK AFCAR, we are collectively raising awareness of the sector ensuring that we are rightly considered across legislative and business policy making.” Following the announcement of the government’s Energy Bill Relief Scheme, the Independent Garage Association (IGA) is warning that additional support will be needed to help independent garage businesses survive the ongoing energy price crisis and protect UK road safety. The scheme will x wholesale energy prices for businesses at £211 per MWh for electricity and £75 per MWh for gas, initially for six months between 1 October 2022 and 31 March 2023.

Stuart James comments: “We are pleased that the government has nally introduced support for businesses to help them with the extortionate cost of energy, following our communications with Chancellor and Secretary of State. However, small businesses like garages will need help far beyond the next six months to keep their doors open, protect jobs and help prevent accidents on our roads. “Independent garages provide vital, a ordable services that keep the UK’s vehicles roadworthy and roads safe, however we are already seeing reports that motorists are avoiding MOTs and car repairs to save money amidst the rising cost of living. If garages are forced to raise their prices signi cantly to cover their energy costs in the near future, this could seriously impact road safety throughout the UK.”

A false economy

The bi-annual MOT proposal will not alleviate the rising cost of car ownership, warns Intelligent Motoring, as delaying repairs will double already rapidly rising costs. As a new RAC survey rears fresh consumer concerns about Government’s plans to change the compulsory MOT from every year to every two years, Intelligent Motoring highlights the rising cost of vehicle repairs and says that short-term nancial gains from delaying an MOT by twelve months will have long term nancial implications, as well as signi cant road-safety consequences. Duncan McClure Fisher comments, “Delaying repairs to vehicles for short-term nancial gain is not an answer. Our analysis of service, repair and maintenance claims con rms that the costs are rising and this is likely to continue. A small fault today already costs a third more to rectify than it did this time last year. Leave this small fault to develop another 18-24 months and the cost implications could be signi cant, let alone the safety risk it could pose to the driver, their passengers and other road users.”

FILLING THE AUTOMOTIVE AFTERMARKET SKILLS GAP

To celebrate the rst National Intern Week (26-30 September) Autotech Academy is reporting the success of its internship initiative, which is paving the way for a new generation of skilled technicians to enter the industry. Autotech Academy, launched in January 2021, was created to help newly quali ed Level 3 students secure their rst automotive role through a paid internship. Now, with a full academic year under its belt, the Autotech Academy concept has helped over 150 young people gain employment within the industry. It has also generated a new recruitment stream for the sector which has been plagued by a skills shortage for years. Working as a conduit between FE Colleges and motor industry employers, Autotech Academy identi es qualifying Level 3 automotive students, equips them with a starter tool kit and uniform, before placing them with an employer for a period of 6 -12 months on a paid internship. At the end of the agreed term, the employer can decide to employ the intern on a permanent basis with no recruitment fees. Over two thirds of interns, placed into the industry by Autotech Academy, are successfully transitioning to permanent employment on completion. One major misconception around Autotech Academy has been the myth that an internship is the same as an apprenticeship. “Put simply, an apprentice is a school leaver with no automotive education while an intern is fully quali ed with the latest theoretical training and will work full-time. They do not require day release to attend college as an apprentice would,” comments Simon, Managing Director of Autotech Group. Employers have shaped the internship to suit their speci c needs. From interns ‘shadowing’ master technicians before working independently, to putting them on smaller, repetitive tasks so they can re ne their skills. “While the interns have the right quali cations, they’ll initially need to be directed and potentially shadow people to gain the con dence to put their knowledge into practice. However, by all accounts, the interns placed by Autotech Academy are working independently very quickly and o er an immediate extra pair of hands.” Now, as a new academic year gets rmly underway, Autotech Academy, building upon the relationships forged with over 60 FE Colleges across the UK, is set to increase the number of internship positions created and inject a new cohort of newly quali ed talent into the sector. www.autotechacademy.co.uk

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